Suze Orman is a force in personal finance. Her no-nonsense approach, combined with practical advice, has helped millions get their financial houses in order. Known for her tough-love attitude, she emphasizes taking control of your money to achieve your goals.
While Orman encourages ambition, her philosophy includes a strong thread of frugality. “Must Have vs. Nice to Have” is a core concept she stresses. It’s NOT about deprivation, but about intelligent spending and aligning our choices with what truly matters to us for a richer life – both financially and personally.
We scoured the internet for 16 of Suze Orman’s best tips on embracing a frugal yet abundant mindset. Get ready to rethink your relationship with money and discover hidden opportunities to save without sacrificing your happiness.
1. Needs vs Wants: The “Wait 24 Hours” Rule
Impulse buys are budget busters. Before clicking “purchase” online or heading to the register, Orman advises imposing a mandatory 24-hour waiting period on non-essential items.
This simple pause breaks the cycle of instant gratification fueled by marketing. Often, the urgency to buy fades, revealing if the item was a true need or fleeting desire.
2. Embrace Pre-Owned Treasures
Thrifting isn’t just about saving money, says Orman; it can be a source of unique finds and eco-conscious choices. From clothing to furniture, pre-owned items often offer quality at a fraction of the retail price.
“I can’t stress enough the importance of spending the minimum… Please do not pay up for bells and whistles.” Orman enthusiastically notes. You might also be supporting local charities with your purchases.
3. Question Subscriptions and Memberships
Monthly subscriptions for streaming services, gym memberships, and magazines add up. Orman advocates taking stock regularly to ensure you’re actually utilizing what you pay for.
If that online yoga class goes unattended or the gym sits unused, it’s wasted money. Explore free trials first, consider sharing memberships with friends, or explore free alternatives when possible.
4. DIY Whenever Possible
From haircuts to simple home repairs, tackling things yourself can save a surprising amount of money. Orman, surprisingly, recommends this for fun and the confidence boost it brings.
“Learning to do basic things around the house not only saves you cash, but it’s incredibly empowering,” she asserts. YouTube tutorials can be super helpful, but knowing your limits is important– some things ARE better left to professionals!
5. Brown Bag Your Lunch
Restaurant meals are major budget drains. Orman stresses the power of packing your own lunch. It’s healthier and far less expensive than takeout or dining out regularly.
A $10 restaurant lunch a few times a week can easily add up to $200+ a month. Brown-bagging offers healthier choices and control over ingredients. Leftover makeovers are another frugal lunch win.
6. “8-Year Car” Strategy
Rather than chasing the latest model, Orman champions buying reliable used cars and driving them for at least 8 years. New cars depreciate the second you drive them off the lot!
She stresses avoiding that car payment trap! Well-maintained used cars save significantly. Do your research on models known for longevity. A mechanic’s inspection beforehand is essential when going the used car route.
7. Master the Art of Negotiation
Orman believes everything is negotiable, from interest rates to cable bills. Don’t be afraid to ask for a better deal, especially when armed with a little research on competitors’ rates.
“The worst they can say is ‘no,’ but often, confidently asking for a discount or better terms gets results,” she notes. Loyalty as a customer can sometimes offer negotiation leverage as well.
8. Embrace the Joy of Experiences
Orman emphasizes shifting spending from accumulating stuff toward experiences. Travel, concerts, and shared adventures often create lasting memories that outshine material possessions.
“Spending on experiences makes people happier in the long run compared to buying things,” she asserts. Saving for that dream trip or a special outing becomes more motivating than the fleeting satisfaction of another object.
9. “Free Fun” is Underrated
Enjoying life doesn’t require breaking the bank. Hiking, exploring local parks, museums on free admission days, or game nights with friends offer budget-friendly quality time.
Orman stresses that fun doesn’t correlate with cost. Brainstorming creative “free fun” activities can be surprisingly entertaining and bonding. Your local library is a source of more than just books—check their events calendar!
10. Coupon and Bulk Buying Strategically
Coupons can slash your grocery bill, but Orman cautions against impulse buying based solely on a sale. Bulk buying makes sense for non-perishables you use consistently.
“Only buy what you truly need and will use, even if it’s a good deal,” she stresses. Try matching coupons with existing sales and planning meals around what you have maximizes savings.
11. Energy Efficiency as Investment
Small changes to reduce energy consumption add up. Unplug unused electronics, switch to LED bulbs, and use energy-efficient settings on appliances. Orman sees these as investments, not sacrifices.
“Lowering your utilities frees up money for other goals.” Many utility companies offer home energy audits, revealing where you could do better. Small habit shifts often yield big savings over time.
12. Debt is the Enemy
High-interest credit card debt is a major obstacle to financial freedom, Orman warns. She stresses paying off existing debt aggressively while avoiding incurring new debt whenever possible.
“Interest compounds against you. It’s vital to make more than minimum payments on credit cards,” she advises. Free up money by cutting unnecessary expenses to throw at that debt!
13. Embrace Hand-Me-Downs
Especially useful for families, hand-me-down clothes, toys, and baby gear are goldmines. Orman encourages accepting generous offers from friends or relatives with older children.
“Kids grow out of things fast! Why pay full price when gently used items can save you hundreds of dollars? Plus, it’s great for the environment,” she says. Online groups often facilitate hand-me-down trades, too.
14. Home Maintenance Matters
Ignoring small home repairs can lead to expensive major fixes. Orman advocates for preventative maintenance – fixing that leaky faucet promptly, changing furnace filters regularly, and addressing minor issues ASAP.
“A little proactivity saves a lot down the line. Think of home maintenance as an investment,” she notes. Online resources and YouTube tutorials empower you with home repair knowledge and skills.
15. The “True Cost” Calculation
To curb impulse buys, Orman wants you to calculate the “true cost.” If the item is $100, and you earn $25/hour, that’s four hours of your work to purchase it.
“Thinking in terms of hours worked, not just the dollar amount, makes the spending decision feel more tangible,” she states. This simple question – Is this worth x hours of my life? – provides an empowering perspective.
16. Celebrate Your Frugal Wins
Orman believes in making saving fun, not a slog. Set small, achievable goals and celebrate milestones along the way. That first $1,000 in your emergency fund is a cause for celebration!
“Acknowledging your progress is incredibly motivating and helps keep you focused on your long-term goals,” she stresses. Focusing on those milestones helps build positive momentum as you become more financially empowered.
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With an honors degree in financial engineering, Omega Ukama deeply understands finance. Before pursuing journalism, he honed his skills at a private equity firm, giving him invaluable real-world experience. This combination of financial literacy and journalistic flair allows him to translate complex financial matters into clear and concise insights for his readers.
